- Retention Outlook Softens as Workers Reassess Their Options
- Manager Development and Performance Have Become a Sore Spot
- Women and Men Have Different Priorities When It Comes to Work
- Hiring Teams Embrace AI, But Authenticity Is a Growing Concern
- Figures and Facts of the Week
Retention Outlook Softens as Workers Reassess Their Options
Employment retention decreased 1.3 points in the second quarter of 2026, indicating U.S. workers are less likely to remain in their current roles over the next six months, according to the latest Employee Retention Index by Eagle Hill Consulting. The index sits at 104.2, its lowest point in 12 months. While the latest data signals workforce retention will remain relatively strong by historical standards, this period’s decline is part of a downward trend observed since the third quarter of 2025.
Other key retention index indicators included:
- The Compensation Indicator declined 5.6 points, representing the only indicator to weaken this quarter.
- The Job Market Opportunity Indicator increased 1.9 points, reflecting growing optimism about external job opportunities.
- The Organizational Confidence Indicator increased 0.9 points, rebounding after two consecutive quarters of decline.
- The Culture Indicator increased 0.3 points, continuing its steady upward trend for a fourth consecutive quarter.
“Today’s workforce is sending employers a nuanced message,” said Melissa Jezior, the firm’s president and CEO. “Employees generally feel good about their organizations and workplace culture, but many are questioning whether their compensation and long-term growth opportunities are keeping pace with the market. When workers begin to believe they have better options elsewhere, retention risks increase, even inside organizations with strong cultures.”
Manager Development and Performance Have Become a Sore Spot
According to new research released by the American Management Association (AMA), a global professional development firm, 84% of global workers said they felt somewhat to very confident about their future advancement opportunities, but only 27% of survey respondents described their managers as highly effective, while 66% reported not receiving frequent support.
Among the report’s key findings:
- Many managers are stepping into leadership without formal preparation. Fifty-one percent of respondents said they were promoted into people management without formal leadership training.
- The most urgent skill gaps are deeply human. Respondents pointed to communication, leadership, decision making, collaboration, critical thinking, prioritization and navigating ambiguity as essential capabilities for today’s workplace.
- Development is still not sufficiently embedded into work. Only 30% of respondents reported having enough opportunities to develop new skills.
“Managers are often the link between employee potential and organizational performance,” said AMA president and CEO Manny Avramidis. “When organizations prepare managers to develop people effectively, they strengthen both individual growth and business outcomes. That is when talent becomes a strategic advantage.”
Women and Men Have Different Priorities When It Comes to Work
Women ranked remote work as their top priority when considering a new job (37%), while men ranked compensation first (31%). This is according to a Women and Men at Work Report by job listings website FlexJobs.
Based on responses from more than 1,700 U.S. workers, the survey also found:
- 87% of women said the rising cost of living has negatively impacted their finances, compared with 80% of men.
- 78% of women said remote work options influence whether they apply for a job, compared with 70% of men.
- 64% of women considered flexible schedules when applying for a job, vs. 49% of men, marking the largest gap among the two groups.
- 33% of women reported feeling stressed at work often or very often, compared with 24% of men.
Women also were more likely to say recognition, growth and purpose contributed to their engagement on the job.
The factors contributing to workplace engagement were:
-
Feeling valued or recognized:
- Women: 73%
- Men: 60%
-
Interesting or challenging work:
- Women: 71%
- Men: 73%
-
Learning and growth opportunities:
- Women: 58%
- Men: 48%
-
Meaningful work:
- Women: 57%
- Men: 52%
Hiring Teams Embrace AI, But Authenticity Is a Growing Concern
Eighty-seven of U.S. hiring managers reported they use artificial intelligence (AI) in at least one stage of recruitment, according to a new survey by Resume Genius.
The career website surveyed 1,500 U.S. hiring managers and hiring team members and found:
- 86% agreed AI will create challenges in verifying candidate authenticity over the next year.
- 82% are concerned about candidates using AI in job applications.
- 72% agreed AI will make recruitment faster and more efficient.
- 58% have encountered AI-generated resumes or cover letters.
- 46% have seen candidates use AI to answer interview questions.
- 20% don’t tell candidates how they use AI in hiring decisions.
- 17% have caught candidates using deepfake technology during video interviews.
When asked about the most common AI uses, the surveyed hiring managers reported the following:
- Screening resumes and job applications (58%)
- Writing job descriptions and postings (46%)
- Matching candidates to jobs based on skills (44%)
- Scheduling interviews (41%)
- Background checks and verification (35%)
- Skills assessments (33%)
- Candidate communication (27%)
- Reducing hiring bias (20%)
- AI-assisted video interviews (18%)
“Overall, the survey suggests that hiring managers see significant value in AI’s ability to make recruitment faster and more efficient, but they also recognize the importance and difficulties of maintaining transparency and trust throughout the hiring process,” said Lauren Mastroni, a career expert at Resume Genius. “As AI continues to evolve, companies will likely need to balance the productivity benefits of these tools with clear communication and thoughtful hiring practices.”
Figures and Facts of the Week
- 4,500: The number of Google employees who have signed a petition urging the tech company to adopt stronger protections against layoffs.
- 94: The percentage of Fortune 500 companies that reported AI as a business risk, according to new research from Orgvue, an organizational design and planning software platform. The analysis also found only 27% are actively applying AI in business operations.
- 87: The percentage of American HR leaders who have completed layoffs or are planning them in the next 12 months, according to a Mobility Breakdown Report by talent solutions and advisory company LHH.
- 80: The percentage of business and technology professionals who reported using AI tools multiple times per month, according to an AI Skills Tracker report by CompTIA, a global provider of IT training and certifications. More than half of the respondents said business-related activities accounted for 20% or less of their overall AI use.
- 80: The percentage of peak global office utilization, surpassing the pre-pandemic average of between 65% to 70% for most organizations, according to a 2026 Global Workplace and Occupancy report by real estate services and investment firm CBRE. Ninety-three percent of respondents cited collaboration with colleagues as a very or somewhat important reason to be in the office.
- 69: The percentage of U.S. workers who said they are unsure they can retire comfortably, according to a 2026 U.S. Retirement Trend Report by workforce advisory firm NFP. This is despite 89% of surveyed employees stating they trust their employer-provided financial advisors.
- 49: The percentage of U.S. employers who said AI hasn’t yet delivered tangible value, according to a recent report by HR software company BambooHR.
Editor’s Note: Additional Content
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